HC orders BJP to change location of Kasba protest rally, questions necessity after arrests
Shares of China’s Avic Chengdu Aircraft, the manufacturer of J-10 fighter jets used by Pakistan, plunged over 9% on Tuesday following Indian Prime Minister Narendra Modi’s aggressive post-Operation Sindoor speech. The sharp selloff came after Modi declared that India had not only neutralised cross-border threats but would "annihilate" any future terror attempts emanating from Pakistani soil.
The crash in Avic Chengdu's stock, which dropped as much as 9.31% intraday to 86.93 yuan, reflects growing concerns among investors about Pakistan’s military capabilities and the geopolitical fallout of India’s assertive defence posture. Avic manufactures the J-10C fighter jets, which Pakistan claimed to have deployed during its retaliatory strikes after India’s deep-strike operation on May 7.
While Avic slumped, Indian defence stocks recorded notable gains as investors cheered the successful execution of Operation Sindoor and growing trust in India’s indigenous military capabilities. Shares of companies involved in India's defence production and logistics rallied across the National Stock Exchange.
Interestingly, Avic’s stock had soared up to 60% in the week leading up to the strikes, reaching a high of 95.86 yuan. That rally, driven by speculation of an escalating conflict, now appears reversed, with additional selloffs reported in other Chinese defence-related firms. Shares of China State Shipbuilding Corporation fell over 4%, while electronics defence supplier Zhuzhou Hongda dropped more than 6%.
Meanwhile, Dassault Aviation—the maker of Rafale jets used by India during Operation Sindoor—also faced market turbulence in Europe, despite early gains. Reports suggest India used SCALP cruise missiles and precision-guided HAMMER bombs in the strike while avoiding Pakistani airspace, marking a new benchmark in air-strike doctrine.